Compare Today’s Best Mortgage Rates in Canada

Fixed rates stay the same for your entire term, and are priced from Government of Canada bond yields.
Variable rates move with a lender’s prime rate, which changes when the Bank of Canada raises or cuts the overnight rate.

Mortgage rates in 2025 depend on inflation trends and Bank of Canada decisions.
Fixed rates will fall only if 5-year bond yields drop, while variable rates will fall if the BoC cuts its overnight rate.
You can check BoC rate-cut odds on our homepage for market-based probabilities.

It depends on your rate risk tolerance:

• If markets expect rate cuts, variable or shorter terms may offer better flexibility.
• If volatility is high or you want payment stability, a fixed rate can make sense.
  Compare both options using your payment calculator and our BoC odds to see which aligns with expected moves.

A “good” rate depends on your:

• credit score
• down payment amount
• insured vs uninsured status
• property type
• lender competition

You can compare best available rates through our Homewise partner widget, updated daily.

Rates remain elevated because inflation has been persistent and the Bank of Canada kept its policy rate high to cool demand.
Fixed rates also stay elevated when bond yields remain high due to inflation risk, global rate trends, and investor expectations.

If you stay with your current lender at renewal, no new stress test is typically required.
If you switch lenders, some lenders do require a new stress test unless you are renewing an uninsured mortgage without increasing the loan amount or amortization.

Yes. At renewal, you can switch lenders without paying the usual prepayment penalties — as long as your mortgage term has fully matured.
You may still need to re-qualify depending on lender requirements.

You must qualify at the higher of:

• 5.25%, or
• Your contract rate + 2%. 

This ensures you can afford payments if rates rise in the future. Our stress-test calculator can estimate your qualifying amount instantly.

5-year fixed mortgage rates track closely with 5-year Government of Canada bond yields.
When yields fall, lenders can lower fixed rates.
When yields rise, fixed rates typically increase.
This relationship often moves ahead of Bank of Canada decisions.

Banks and lenders can update mortgage rates any time, often multiple times per week — or even multiple times per day during volatile markets.
Updates occur when bond yields move, the economic outlook shifts, or lenders adjust funding costs.

• Amortization is the total time needed to fully repay your mortgage (e.g., 25 years).
  
• Term is the length of your current contract and rate (e.g., 5 years).
  You’ll renew several times during your amortization period.

Yes. Breaking your mortgage before the term ends usually triggers a penalty:

• Fixed rate → interest rate differential (IRD)
  
• Variable rate → typically 3 months’ interest
  Penalties vary dramatically by lender.
  

Most lenders allow:

• 10–20% lump-sum annual prepayments
  
• Increasing your monthly payment amount
  
• Switching to an accelerated schedule
  

These reduce interest costs over time.